Cement Australia's official report on Energy Efficiency Opportunities (2010)

1. cement australia energy efficiency
1. Introduction
Cement Australia has certain reporting obligations under the Energy Efficiency Opportunities
(EEO) legislation. Information provided herewith is in fulfilment of the EEO requirement to
provide an annual update public report providing details of further assessments undertaken
and updates to Cement Australia's business response to the outcomes of assessments.
This public report relates to the period from 1 July 2006 to 30 June 2010.
Cement production is an energy intensive
activity, with energy a major component of
production cost and contributing substantially to the overall competitiveness of our business.
As a result, Cement Australia, including its se
nior managers, executive and board give careful
consideration to energy use and energy efficiency opportunities.
This document had been presented to and approved by the board of directors.
2. Summary of Assessment Methodology and Energy Use
As described in Cement Australia's Assessment and Reporting Schedule (submitted to the
Australian Government, Department of Resources, Energy and Tourism in December 2007),
EEO assessments are incorporated into Cement Australia's annual plant performance
assessment process which consists of: the Plant Master Plan (PMP); Annual Technical
Review (ATR); the CAPEX project planning pr
ocess; and the five-year Business Plan. The
ATR and PMP examine energy use in det
ail by energy type and production area.
The introduction of mandatory greenhouse and energy reporting under the National
Greenhouse and Energy Reporting System (NGERS) in 2008 prompted a review of the
structure of the Cement Australia controlling corporation and group as per definitions under the
NGERS legislation. In accordance with amendments to the EEO regulations in 2008 to
streamline reporting entities between the two
reporting systems, this review prompted a
number of minor modifications to Cement Australia's reporting structure. For the purposes of
this public report "Cement Australia" is taken to refer jointly to Cement Australia Holdings Pty
Limited and Cement Australia Pty Limited.
Cement Australia's total current energy use for the period 1 July 2009 to 30 June 2010 totals
14.09 PJ with 13.2 PJ or 94% being consumed at the three sites which trigger the 0.5PJ site
threshold (the Rockhampton integrated clinker/cement manufacturing facility was mothballed
early in the current reporting period).
For this same reporting period, Cement Australia assessed energy use at our three largest
manufacturing sites and our largest grinding plant. Energy types used at the reportable sites
include grid electricity, coal, diesel, natural gas

2. and gasoline. Energy is also substituted by
recycled sources including spent cell liners and
blended alternative fuels from a subsidiary
industrial waste reprocessing facility, Geocycle.
3 Operational variations occurring during the reporting period
3.1 Production variations
Production variations across company operations over the reporting period were within 10% of
previous reporting periods with the exception of the Rockhampton facility which was
mothballed early in the reporting period.
3.2 Streamlining of EEO and NGERS
In-line with the intent of the Australian Government's National Greenhouse and Energy
Reporting Streamlining Protocol, Cement Australia has established a greenhouse and energy
reporting system designed to meet the requirements of both NGERS and EEO. As indicated in
Section 2 above, the participation rules under NGERS, which post-dated Cement Australia's initial
ARS and EEO report, has resulted in as lightly modified EEO reporting structure which has been
implemented for this current EEO reporting period.
Energy consumption data compiled for NGERS
reporting purposes is used for meeting EEO
energy consumption reporting requirements. This process is defined in Group Procedure
CAS-PR-10.02 (CO2 Data Inventory and Reporting Procedure).
Cement Australia's Greenhouse and Energy
Management System ("GEMS") database was
designed initially to the requirements of the now defunct Greenhouse Challenge program but
has been enhanced to facilitate the tracking of greenhouse gas abatement, energy efficiency
and financial indicators associated with projects.
4 Energy Efficiency Opportunities that have been identified and evaluated
4.1 New assessments completed or not reported since last Public Report
Cement Australia has a formal and systematic annual process to review and assess the energy
performance of its cement manufacturing facilities and grinding plants, called the Annual
Technical Review (ATR). Data collected and calculated from the ATR is analysed and
compared to previous year's data, global benchmarks and defined performance targets.
Cement Australia (Kandos) Pty Ltd–Kandos site.
Assessment through annual ATR/PMP process
Cement Australia (Goliath) Pty Ltd–Railton site.

3. Assessment through annual ATR/PMP process Cement
Australia (Queensland) Pty. Ltd.–Gladstonesite
Assessment through annual ATR/PMP process
Cement Australia (Queensland) Pty Ltd–Bulwer Island site
Assessment through annual ATR/PMP process
4.2 Update of assessments reported in previous Public Reports
The status of the following Energy Efficiency Opportunities (assessed to an accuracy of better
than ±30%) as a result of previous assessments has been updated for each reporting entity.
5 Details of significant opportunities found through EEO assessments
Cement Australia (Goliath) Pty. Ltd.
-A number of small initiatives have resulted in a significant reduction (5%) in specific
electrical energy (ie kWh/tonne produced). These initiatives are:
– New media design for cement mills;
– Mill repairs and liner plate replacement; and
– Improved grindability and reactivity of clinker
-An energy audit was completed in October 2010 using the Cement Benchmarking & Energy
Savings Tool (BEST), and Holcim the "Fan save" energy calculation tools. The following were just
some of the documents used as references for the audit:
– Railton MPR technical document (2005),
– Holcim report – process control & electrical circle (2001),
– Holcim report – holistic approach to ener
gy management at Holcim US (2007),
– Holcim checklist – how to minimise electrical energy consumption and cost,
– Holcim technical development program for process engineers - efficient use of
electrical energy, and
– Berkeley National Laboratory – energy efficiency improvement and cost saving
opportunities for cement making (2008)
The findings of the audit will be assessed in early 2011 and an appropriate action plan
developed.
-The annual ATR/PMP process allows for a
regular and frequent assessment of energy
consumption and associated opportunities to reduce consumption. Future opportunities include
the adoption of grinding aid for cement milling (2011), the introduction of expert optimisers on

4. main equipment over the next fe w years, identification and implementation of control measures to
eliminate the unnecessary operation of equipment during plant idle
time, continued evaluation of opportunities to convert fixed speed drives / damper systems to
variable speed.
6 Statement
The information provided is, to the best of my knowledge, an accurate reflection of the situation
and conforms to the requirements of the Energy Efficiency Opportunities Act 2006 and
Regulations.
Chris Leon
Chief Executive Officer
http://www.cementaustralia.com.au